The launch into Australia and New Zealand of BNP Paribas’ Securities Services business’ ESG investment compliance monitoring service will support local clients to meet their ESG commitments and investment objectives and avoid potential compliance breaches.
For the clients of Securities Services at BNP Paribas, the service provides ESG investment compliance screening capabilities for local asset managers and owners – allowing them to incorporate customisable and flexible ESG criteria into their portfolio monitoring.
The service, which has already been successfully deployed in Europe, includes a wide range of ESG criteria and delivers external assurance that funds are meeting their ESG commitments through automated post-trade assessment.
By leveraging a wide range of data feeds from external and internal sources, the ESG service screens portfolios against customised and flexible criteria adapted to each client’s ESG framework. The selection can be made from a range of options, such as the inclusion or exclusion of specific activities, ESG ratings and benchmarks, carbon intensity compared to a benchmark and adherence to global standards.
This service is becoming available at a time when market developments are progressing rapidly. The Australian Government’s Treasury has recently released a Sustainable Finance Roadmap. New Zealand also has a 2030 roadmap, including plans for a sustainable finance taxonomy.
